First stage allocation, activity-based costing, manufacturing sector Marshall Precision devices uses activity-based costing to allocate overhead to customer orders for pricing purposes. Many customer orders are won through competitive bidding. Direct material and direct manufacturing labor costs are traced to each order Marshall's direct manufacturing labor rate is $18 per hour. The company reports the following yearly overhead costs: . $400,000 Wages and salaries Depreciation Rent Other overhead Total overhead costs $50,000 $100,000 $200,000 $750,000 Marshall has established four activity cost pools Cost Pocl Measure Total 30,000 direct manufacturing labor-hours 500 orders 100 custom design Not applicable for the Year Direct manufacturing labor support Order processing Design support Other Number of direct manufacturing labor hours Number of customer orders Number of custom designs Faclity-sustaining costs that are not allocated to orders Only about 20% of Marshall's yearly orders require custom designs. Jen Chandler, Marshall's controller, has prepared the following estimates regarding distribution of the overhead costs across First stage allocation, activity-based costing, manufacturing sector Marshall Precision devices uses activity-based costing to allocate overhead to customer orders for pricing purposes. Many customer orders are won through competitive bidding. Direct material and direct manufacturing labor costs are traced to each order Marshall's direct manufacturing labor rate is $18 per hour. The company reports the following yearly overhead costs: . $400,000 Wages and salaries Depreciation Rent Other overhead Total overhead costs $50,000 $100,000 $200,000 $750,000 Marshall has established four activity cost pools Cost Pocl Measure Total 30,000 direct manufacturing labor-hours 500 orders 100 custom design Not applicable for the Year Direct manufacturing labor support Order processing Design support Other Number of direct manufacturing labor hours Number of customer orders Number of custom designs Faclity-sustaining costs that are not allocated to orders Only about 20% of Marshall's yearly orders require custom designs. Jen Chandler, Marshall's controller, has prepared the following estimates regarding distribution of the overhead costs across